A geosimulation model of economic activity for supporting spatial planning and economic policy
The present paper presents a geosimulation agent-based model of firm development that is based on firmsâ€šÃ„Ã´ behavioural rules. The model describes growth, closure, spin-offs and relocation of firms in 21 industrial sectors in the Netherlands, based on a dataset of all individual firms in the Netherlands. An important aspect of the model is the potential interaction that exists between firms, which is represented by various agglomeration indicators. The indicators represent the effect of the distance to other firms, which may have implications fro market potential, agglomeration advantages and congestion/competition. By including positive and negative attraction effects a proper description of concentration and deconcentration tendencies is achieved. The interactions may take place on difference scales, depending on the type of effect (agglomeration advantage, competition for space) and economic sector. The interactions affect growth, closure and spin-off of the individual firms in the model. The model is applied to simulate the distribution of economic development in the Netherlands during a ten year period (1998-2007). The simulation results are then compared to existing 2007 data. This comparison confirms the effectiveness of the model. Simulation carried out with and without various positive and negative agglomeration factors indicate that including agglomeration factors into the model seriously adds to the quality of predictions.
|Date of creation:||Sep 2011|
|Date of revision:|
|Contact details of provider:|| Postal: Welthandelsplatz 1, 1020 Vienna, Austria|
Web page: http://www.ersa.org
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Glaeser, Edward Ludwig & Kallal, Hedi D. & Scheinkman, Jose A. & Shleifer, Andrei, 1992.
"Growth in Cities,"
3451309, Harvard University Department of Economics.
- Leo van Wissen, 2000. "A micro-simulation model of firms: Applications of concepts of the demography of the firm," Papers in Regional Science, Springer;Regional Science Association International, vol. 79(2), pages 111-134.
- Joris Knoben & Roderik Ponds & Frank van Oort, 2011. "Employment from new firm formation in the Netherlands: Agglomeration economies and the Knowledge Spillover Theory of Entrepreneurship," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 23(3-4), pages 135-157, April.
- Gerke J. Hoogstra & Jouke van Dijk, 2004. "Explaining Firm Employment Growth: Does Location Matter?," Small Business Economics, Springer, vol. 22(3_4), pages 179-192, 04.
- Feldman, Maryann P. & Audretsch, David B., 1999.
"Innovation in cities:: Science-based diversity, specialization and localized competition,"
European Economic Review,
Elsevier, vol. 43(2), pages 409-429, February.
- Audretsch, David B & Feldman, Maryann P, 1998. "Innovation in Cities: Science-Based Diversity, Specialization and Localized Competition," CEPR Discussion Papers 1980, C.E.P.R. Discussion Papers.
- Brouwer, A.E. & Mariotti, I. & Ommeren, J.N. van, 2003.
"The firm relocation decision: an empirical investigation,"
Serie Research Memoranda
0023, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
- Aleid E. Brouwer & Ilaria Mariotti & Jos N. van Ommeren, 2004. "The firm relocation decision: An empirical investigation," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 38(2), pages 335-347, 06.
- Combes, Pierre-Philippe, 2000. "Economic Structure and Local Growth: France, 1984-1993," Journal of Urban Economics, Elsevier, vol. 47(3), pages 329-355, May.
- van Oort, F.G. & Burger, M.J. & Raspe, O., 2009.
"On the Economic Foundation of the Urban Network Paradigm: Spatial Integration, Functional Integration and Economic Complementarities within the Dutch Randstad,"
ERIM Report Series Research in Management
ERS-2009-039-ORG, Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus University Rotterdam.
- Frank van Oort & Martijn Burger & Otto Raspe, 2010. "On the Economic Foundation of the Urban Network Paradigm: Spatial Integration, Functional Integration and Economic Complementarities within the Dutch Randstad," Urban Studies, Urban Studies Journal Limited, vol. 47(4), pages 725-748, April.
- Kelly, Morgan & Hageman, Anya, 1999. "Marshallian Externalities in Innovation," Journal of Economic Growth, Springer, vol. 4(1), pages 39-54, March.
- van Soest, D.P. & Gerking, S.D. & van Oort, F.G., 2002. "Knowledge Externalities, Agglomeration Economies, and Employment Growth in Dutch Cities," Discussion Paper 2002-41, Tilburg University, Center for Economic Research.
- Daniel Griffith & David Wong, 2007. "Modeling population density across major US cities: a polycentric spatial regression approach," Journal of Geographical Systems, Springer, vol. 9(1), pages 53-75, April.
- Adam B. Jaffe & Manuel Trajtenberg & Rebecca Henderson, 1993.
"Geographic Localization of Knowledge Spillovers as Evidenced by Patent Citations,"
The Quarterly Journal of Economics,
Oxford University Press, vol. 108(3), pages 577-598.
- Adam B. Jaffe & Manuel Trajtenberg & Rebecca Henderson, 1992. "Geographic Localization of Knowledge Spillovers as Evidenced by Patent Citations," NBER Working Papers 3993, National Bureau of Economic Research, Inc.
- Jaffe, A.B. & Trajtenberg, M., 1992. "Geographic Localization of Knowledge Spillovers as Evidenced by Patent Citations," Papers 14-92, Tel Aviv.
- Daan P. van Soest & Shelby Gerking & Frank G. van Oort, 2006. "Spatial Impacts Of Agglomeration Externalities," Journal of Regional Science, Wiley Blackwell, vol. 46(5), pages 881-899.
- Jouke van Dijk & Piet H. Pellenbarg, 2000.
"Firm relocation decisions in The Netherlands: An ordered logit approach,"
Papers in Regional Science,
Springer;Regional Science Association International, vol. 79(2), pages 191-219.
- van Dijk, Jouke & Pellenbarg, Piet H., 1999. "Firm relocation decisions in The Netherlands: an ordered logit approach," ERSA conference papers ersa99pa418, European Regional Science Association.
When requesting a correction, please mention this item's handle: RePEc:wiw:wiwrsa:ersa10p1016. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Gunther Maier)
If references are entirely missing, you can add them using this form.